An Interactive 5-Day Training Course
Farm-in, Farm-out & Data Room Technical Evaluation
Evaluating Deals Under Time Pressure
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Duration
5 Days
Price
$ 3,500
Starting From
27 Sep 2027
Home Geology and Geoscience Farm-in, Farm-out & Data Room Technical Evaluation
Farm-in, Farm-out & Data Room Technical Evaluation
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Farm-in, Farm-out & Data Room Technical Evaluation - GG-FARM-PEA27
| Code | Date | Time | Duration | Location | Currency | Early Bird Fee Per Person |
|---|---|---|---|---|---|---|
| GG-FARM-PEA27 | 27 Sep - 01 Oct 2027 | 10 AM CST | 4 Hours Per Day |
Online |
USD |
3500 |
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Farm-in, Farm-out & Data Room Technical Evaluation
This training covers technical evaluation for farm-in, farm-out and asset transactions. It works through deal types and structures, data room preparation and review, rapid technical evaluation under time constraint, independent reassessment of the seller's case, volume and risk verification, red flags and what they indicate, valuation inputs, technical input to negotiation, and post-deal integration.
Description
A farm-in evaluation gives a technical team a few days in a data room to form a view on an asset that the seller has studied for years. The seller's case is presented in the best light, the data is organised to support it, and the time available is nowhere near enough to redo the work. The skill is in knowing what to check, what to take on trust, what the common ways of overstating a case look like, and how to convert an incomplete technical view into a defensible recommendation on terms.
This training covers both sides of the transaction. Deal types are established first, covering farm-ins and farm-outs, carried interests and promotes, acquisitions of licences and of discovered resource, and the way the deal structure changes what the technical evaluation needs to establish. Data room preparation follows for the farm-out side, covering what to include, how to present a case honestly and effectively, and the questions a competent counterparty will ask. Data room evaluation is then developed in detail: planning the visit, prioritising the data, the checks that matter most, and working efficiently as a small team under time pressure. Independent reassessment follows, covering the reinterpretation of key horizons, the verification of volumes and risk, and the identification of the assumptions the seller's case depends on. Red flags are treated as a specific subject. Valuation inputs and technical input to negotiation follow. The training closes with post-deal integration and the handover of the evaluation into an operating team.
Know what to check and what to accept. In a three day data room there is time to reinterpret one or two key horizons, to verify the volumetric parameters against the well data, to check the structural map against the seismic on a few lines, and to test the charge case. There is not time to redo the regional work, the full interpretation or the reservoir model. Choosing the checks that would most change the view, usually the ones underpinning the largest volumes or the weakest risk assumption, is what separates a useful evaluation from a tour of the data room.
The seller's case is usually technically defensible and selectively presented. Outright errors are rare; what is common is a case built on the most favourable of several reasonable interpretations, ranges that are narrow at the bottom end, analogues chosen for their performance, and risks assessed optimistically but not absurdly. The evaluation is therefore less about finding mistakes than about establishing where the interpretation sits in the range of defensible possibilities, and what the asset looks like at the less favourable end.
Red flags are usually about what is absent. A data room with no pressure data, no core analysis, a seismic survey that stops short of the prospect, a key well whose results are summarised but whose logs are not available, or a reprocessing that was done but is not presented, all indicate something. The absence may be innocent, but each should be asked about directly, and an unsatisfactory answer about missing data is more informative than most of the data that is present.
Finally, the technical output is an input to a commercial decision and should be framed that way. The question is not whether the asset is good but what it is worth and on what terms, which means the evaluation needs to produce a volume range, a risk, a development concept and cost, and a clear statement of the two or three uncertainties that most affect value. A technically thorough evaluation that does not answer those questions has not served the negotiation.
By the end of this training, participants will be able to:
- Distinguish deal types and understand how structure affects the evaluation
- Prepare a data room and present a technical case effectively and honestly
- Plan and prioritise a data room visit under time constraint
- Carry out the technical checks that most affect the view
- Independently reassess volumes, risk and the seller's key assumptions
- Identify red flags including significant data absences
- Reinterpret key horizons and test structural and volumetric cases rapidly
- Produce valuation inputs including volumes, risk, concept and cost
- Provide technical input to negotiation and deal structuring
- Hand over an evaluation into an operating team after close
The training is run as data room exercises under realistic time pressure. Participants receive a seller's case and a data set, plan and execute an evaluation within a fixed time, and produce a recommendation on volumes, risk and terms. The actual outcome of each asset is disclosed afterwards. Participants also prepare a data room from the other side and have it evaluated by another team, which demonstrates directly what a competent counterparty looks for.
Organisations sending participants to this training will:
- Evaluate transaction opportunities more effectively under time pressure
- Identify where a seller's case is optimistic rather than wrong
- Recognise red flags including data absences
- Produce technical input that supports negotiation
- Prepare better data rooms when farming out
- Reduce post-deal surprises through better evaluation
Participants will:
- Plan and run an efficient data room evaluation
- Prioritise the checks that matter under time constraint
- Reassess volumes and risk independently
- Spot red flags and ask the right questions
- Frame technical findings for a commercial decision
- Build capability valued in business development roles
- Business development and new ventures geoscientists
- Exploration and development staff supporting transactions
- Portfolio and commercial evaluation staff
- Reservoir engineers evaluating discovered resource
- Technical staff preparing farm-out data rooms
- Managers responsible for transaction decisions
- Geoscientists moving into business development roles
Module 1 - Deal Types and Structures
- Farm-in and farm-out basics
- Work programme commitments and carries
- Promote structures and their effect
- Licence acquisition and assignment
- Discovered resource acquisition
- Corporate against asset transactions
- Swaps and portfolio trades
- Government and partner approvals
- How structure changes the technical question
- What the evaluation must establish for each type
- Timelines and their technical consequences
Module 2 - Preparing a Data Room
- Farm-out objectives and the technical story
- Data selection and organisation
- Presenting the case honestly and effectively
- Volume and risk presentation
- Analogue selection and its justification
- What to disclose and what is material
- Anticipating counterparty questions
- Data room logistics and access control
- Virtual data rooms and their management
- Managing multiple parties
- Responding to technical queries
- Common data room preparation failures
Module 3 - Planning the Evaluation
- Pre-visit preparation and research
- Public domain data assembly
- Defining the key questions before entering
- Team composition and roles
- Time allocation across data types
- What to check and what to accept
- Prioritising by value impact
- Data extraction and note taking
- Working efficiently in a restricted environment
- Managing confidentiality constraints
- Setting a decision deadline
Module 4 - Rapid Technical Assessment
- Seismic data quality and vintage assessment
- Reinterpreting key horizons rapidly
- Checking structural maps against the data
- Depth conversion and velocity checks
- Well data verification
- Log evaluation spot checks
- Core and test data review
- Pressure data review
- Charge case assessment
- Reservoir property verification
- Production data review for producing assets
- Efficiency techniques under time pressure
Module 5 - Independent Reassessment
- Identifying the assumptions the case depends on
- Alternative interpretations and their consequences
- Volume reassessment with independent parameters
- Risk reassessment against own standards
- Comparing against own portfolio standards
- Analogue reassessment
- Recovery factor and development concept review
- Cost assumptions and their realism
- Sensitivity to the key assumptions
- Producing an independent view
- Documenting differences from the seller's case
Module 6 - Red Flags
- Missing data and what it suggests
- Absent pressure, core or test data
- Partial seismic coverage
- Unavailable well results
- Reprocessing done but not shown
- Narrow volume ranges
- Optimistic analogue selection
- Risk assessments without stated basis
- Inconsistencies between documents
- Reluctance to answer specific questions
- Previous failed transactions on the asset
- Acting on red flags appropriately
Module 7 - Valuation Inputs and Negotiation
- Volume range for valuation
- Chance of success for valuation
- Development concept and schedule
- Capital and operating cost estimates
- Fiscal terms and their effect
- Technical input to economic modelling
- Identifying value driving uncertainties
- Walk-away conditions
- Technical input to deal structuring
- Carry and commitment sizing
- Conditions and contingencies
- Supporting the negotiation team
Module 8 - Post-Deal and Integration
- Due diligence after agreement
- Data transfer and completeness
- Full reinterpretation after close
- Comparing the full study against the data room view
- Capturing evaluation lessons
- Calibrating data room judgement over time
- Handover to the operating team
- Work programme planning after entry
- Partner relationships and technical alignment
- Operatorship and influence considerations
- Reviewing transaction outcomes
Upon successful completion of this training course, delegates will be awarded an official Certificate of Completion issued by the Petroleum Engineers Association (PEA), an ISO 9001:2015 certified training organization. The certificate carries 10 Credits and formally records the total learning hours completed.
Each certificate is signed by the Course Facilitator and the CEO of the Petroleum Engineers Association, and serves as verifiable proof of professional training that delegates can present to employers and professional bodies worldwide.
Frequently Asked Questions
All course bookings made through PEA are strictly non-refundable. By registering for a course, you acknowledge and accept that all fees are payable in full and are not subject to refund under any circumstances, including changes in personal or professional commitments or partial attendance.
PEA reserves the right to make reasonable adjustments to course content, trainers, or schedules where necessary, without entitling delegates to a refund. Comprehensive details of each course — including objectives, target audience, and content — are clearly outlined before enrolment, and it is the responsibility of the delegate to ensure the course's suitability prior to booking.
For any inquiries related to cancellations or bookings, please contact our support team, who will be happy to assist you.
